Marriage and consumption.
We examine theoretically and empirically consumption over the early part of the life-cycle. The main focus is on the transition from being single to living with someone else. Our theoretical model allows for publicness in consumption; uncertainty concerning marriage; differences between lifetime i...
| Main Authors: | , , |
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| Format: | Working paper |
| Language: | English |
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Department of Economics (University of Oxford)
2009
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| _version_ | 1826296836563927040 |
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| author | Browning, M Blow, L Ejrnaes, M |
| author_facet | Browning, M Blow, L Ejrnaes, M |
| author_sort | Browning, M |
| collection | OXFORD |
| description | We examine theoretically and empirically consumption over the early part of the life-cycle. The main focus is on the transition from being single to living with someone else. Our theoretical model allows for publicness in consumption; uncertainty concerning marriage; differences between lifetime incomes for prospective partners and a marriage premium. We develop a two period model to bring out the main features of the impact of marriage on consumption and saving. We then develop a multi-period model that can be taken to the data on expenditures by singles and couples aged between 18 and 30. Our empirical work is based on individual based quasi-panels from UK expenditure survey data from 1978 to 2005. The model fits the data relatively well. We find that expenditure by couples leads to 20 - 40% more consumption than the same expenditure split between two comparable singles. |
| first_indexed | 2024-03-07T04:22:29Z |
| format | Working paper |
| id | oxford-uuid:cb7d181a-3524-407b-98b2-d825bca3da87 |
| institution | University of Oxford |
| language | English |
| last_indexed | 2024-03-07T04:22:29Z |
| publishDate | 2009 |
| publisher | Department of Economics (University of Oxford) |
| record_format | dspace |
| spelling | oxford-uuid:cb7d181a-3524-407b-98b2-d825bca3da872022-03-27T07:15:10ZMarriage and consumption.Working paperhttp://purl.org/coar/resource_type/c_8042uuid:cb7d181a-3524-407b-98b2-d825bca3da87EnglishDepartment of Economics - ePrintsDepartment of Economics (University of Oxford)2009Browning, MBlow, LEjrnaes, MWe examine theoretically and empirically consumption over the early part of the life-cycle. The main focus is on the transition from being single to living with someone else. Our theoretical model allows for publicness in consumption; uncertainty concerning marriage; differences between lifetime incomes for prospective partners and a marriage premium. We develop a two period model to bring out the main features of the impact of marriage on consumption and saving. We then develop a multi-period model that can be taken to the data on expenditures by singles and couples aged between 18 and 30. Our empirical work is based on individual based quasi-panels from UK expenditure survey data from 1978 to 2005. The model fits the data relatively well. We find that expenditure by couples leads to 20 - 40% more consumption than the same expenditure split between two comparable singles. |
| spellingShingle | Browning, M Blow, L Ejrnaes, M Marriage and consumption. |
| title | Marriage and consumption. |
| title_full | Marriage and consumption. |
| title_fullStr | Marriage and consumption. |
| title_full_unstemmed | Marriage and consumption. |
| title_short | Marriage and consumption. |
| title_sort | marriage and consumption |
| work_keys_str_mv | AT browningm marriageandconsumption AT blowl marriageandconsumption AT ejrnaesm marriageandconsumption |